When a policy is canceled and the amount of the return premium is above the defined minimum threshold, the amount will be moved automatically to the Return Premium Queue. If the return premium is below the defined minimum threshold, the return premium will remain on the policy.
To establish a threshold:
- Navigate to Settings > Modules > Policies > Policy Lifecycle > Payment > Return Premium.
- In the Minimum Threshold box, type the amount of the threshold that will determine if the return premium on a canceled policy remains on the policy or is automatically moved to the Return Premium Queue so it can be exported or transferred.
- Select Save.
- The Minimum Threshold setting should be used when a client doesn’t issue return premiums automatically.
- The Minimum Threshold setting uses less than or equal to logic. A threshold of $10 means that any return premium less than or equal to $10 will remain on the policy. Any return premium greater than $10 will be moved to the Return Premium Queue.
- The setting pertains only to cancellation transactions. It doesn’t apply to return premiums caused by a policy change or an overpayment of premium due.